Daily Market Update: Apr 28, 2023

April 28, 2023

BTC is currently trading around $29,200 and ETH around $1,900. Notable gainers in the last 24 hours are RNDR, ICP, and CAKE. The global crypto market cap is ~$1.25T, up ~1.1% over the last day. DeFi Total Value Locked is ~$49b and BTC dominance is around 49%.

Crypto markets are making back a portion of recent losses, while equities are taking a breather after Amazon’s earnings release. Amazon jumped ~11% yesterday in the early after-hours session behind a strong headline report, but gains were more than fully offset as weak cloud guidance arose during the earnings call. Pivoting to global monetary policy, the Japanese yen fell against major currency pairs and JGBs rallied during BoJ Governor Kazuo Ueda’s inaugural policy meeting. Many investors anticipated that the departure of Governor Kuroda would offer an ideal pivot point to begin tightening monetary conditions, and while many strategists still expect this to be the case moving forward, Governor Ueda maintained the BoJ’s ultra-low policy rates and yield-curve control strategy as he announced a formal policy review – leaving flexibility for the BoJ to tighten still after a broader review is complete. On the data front, U.S. Core PCE was in line with forecasts at 0.3% for March, and the Fed is widely expected to hike rates by 25 bps next Wednesday, increasing the Fed funds target range to 5% – 5.25% before a pause is anticipated in June.

Notable news includes: U.S. officials are leading urgent rescue talks for First Republic bank; Coinbase issued a warning response to the SEC’s Wells Notice, declaring its intent to fight back if sued; Binance Japan will launch sometime after June, and FTX confirmed plans to restart its Japanese exchange; Revolut tapped Koinly for automated crypto tax reports; Robinhood revealed a new feature enabling users to access its platform’s features from external wallets; RNDR surged ~50% after its community approved an expansion to Solana; PancakeSwap’s DAO is voting for an aggressive reduction in token inflation; the U.S. government holds ~$6b worth of bitcoin according to Glassnode data; NFT Collective Proof is building a 3d world for the Moonbirds community; the FBI searched former FTX exec Ryan Salame’s home; and, the Merlin DEX exploit was confirmed to have been executed by rouge developers that abused private key privileges.

Sign up to conveniently receive GSR crypto content in your inbox each morning.

Matt Kunke, Research Analyst | TwitterTelegramLinkedIn
Brian Rudick, Senior Strategist | TwitterTelegramLinkedIn

This material is provided by GSR (the “Firm”) solely for informational purposes, is intended only for sophisticated, institutional investors and does not constitute an offer or commitment, a solicitation of an offer or commitment, or any advice or recommendation, to enter into or conclude any transaction (whether on the terms shown or otherwise), or to provide investment services in any state or country where such an offer or solicitation or provision would be illegal.  The Firm is not and does not act as an advisor or fiduciary in providing this material.

This material is not a research report, and not subject to any of the independence and disclosure standards applicable to research reports prepared pursuant to FINRA or CFTC research rules. This material is not independent of the Firm’s proprietary interests, which may conflict with the interests of any counterparty of the Firm. The Firm trades instruments discussed in this material for its own account, may trade contrary to the views expressed in this material, and may have positions in other related instruments. 

Information contained herein is based on sources considered to be reliable, but is not guaranteed to be accurate or complete. Any opinions or estimates expressed herein reflect a judgment made by the author(s) as of the date of publication, and are subject to change without notice. Trading and investing in digital assets involves significant risks including price volatility and illiquidity and may not be suitable for all investors. The Firm is not liable whatsoever for any direct or consequential loss arising from the use of this material. Copyright of this material belongs to GSR. Neither this material nor any copy thereof may be taken, reproduced or redistributed, directly or indirectly, without prior written permission of GSR.